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Trade Idea - LOW

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Trade Idea - LOW

por AC Investor Blog » 19/8/2008 22:00

The stock is moving in an upward channel with higher highs and higher bottoms a sign of a genuine up trend in progress. The volumes are going up simultaneously along with prices, it is clear that the underlying bullish trend will sustain. RSI is clearly overbought and shows a negative divergence, which could lead to a strong correction this week. Corrections are always healthy in an uptrend. MACD averages, is still above the zero line in the indicator and as long as it remains above the zero line the trend will remain intact. Prices are above the major moving averages. Therefore, look for prices to correct downwards before continuing the up trend again. The major support for stock is now at $23.03 ( 200 EMA ).
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